Minister Adhikari urges central bank to ease agriculture loan

Kathmandu, July 7: Minister for Agriculture and Livestock Development, Ramnath Adhikari, urged the Nepal Rastra Bank to make necessary arrangements in a way to simplify agriculture loans.

In a discussion with the central bank governor, Dr Biswonath Paudel, on Sunday, Minister Adhikari underscored the need for an easy procedure for farmers to access agriculture loans, as the role of banks and financial institutions is crucial for poverty alleviation through agro enterprises. “I urge the central bank to effectively monitor whether or not the agriculture loan is being properly utilised”, Minister Adhikari shared, stressing the need to end the misuse of loans for anything other than agriculture.

The government-owned banks should also increase agriculture loans and comply with the central bank’s arrangements regarding agriculture loans, the minister noted. Governor Dr Paudel expressed concern over the improper use of current investments in agriculture, stating that it is essential to work to yield results. He emphasised the need for investments to be effective, as farmers are unable to gain returns from the investments made in agriculture without innovation.

Dr Paudel further shared that he has also listened to grievances during his field visits that those playing with soil are denied grants, but those putting things in papers are receiving them.